© Reuters. FILE PHOTO: A Chinese flag flutters near a Huawei store in Shanghai, China, Sept. 8, 2023. REUTERS/Aly Song/File Photo
By Julie Zhu and Zhuzhu Cui
HONG KONG/SHANGHAI (Reuters) – Huawei Technologies’ new smart car software and components firm is set for a valuation of up to 250 billion yuan ($34.67 billion) after it sells stakes to investors including Changan Auto, three people with knowledge of the matter said.
The Chinese company said on Sunday it will spin off its four-year-old Intelligent Automotive Solution (IAS) business unit – which aimed to become the equivalent of German automotive supplier Bosch of the intelligent electric vehicle (EV) era – into a new company which will receive the unit’s core technologies and resources.
Main auto partner Chongqing Changan Automobile and relevant parties will own up to 40% of the new firm, a Changan Auto statement showed on Sunday. Neither Changan Auto nor Huawei disclosed financial details.
Changan Auto and its ultimate parent, state-owned China Ordnance Equipment Group – also known as China South Industries Group – are considering acquiring about 35% and 5% respectively of the new firm, which could be valued at 200…
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